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Great question!
Let me share my experience.
I am 25 and have been working for 2.5 years.
I started contributing to my 401(k) immediately.
However I was a beginner at this, not and enlightened Fool.
So I put my money in a mix of funds, some holding bonds , some holding stocks, and some holding both.
I basically put money in every fund available to me.
I was getting good returns out of the stock funds, but poor returns out of the others.
After reading the Fool and learning more about investments, I changed the funds I held.
I only have 4 funds in my 401(k) now. All of them are stock funds. One is an S&P 500 Index fund (allocated at 45%). The other 3 funds all have low management fees and good returns.
I am not too aggressive with the funds that I chose.
This mix seems to be doing very well for me considering the general downturn in the market. While the returns are not great, I am not losing money either.

I do not plan on holding individual stocks in my 401(k). The reason is simple. The money that I put into my 401(k) is money I can't touch for 40+ years. If I were to invest in stocks, I would be a fool to not re-evaluate these investments every quarter. With mutual funds, I look for funds that have a reasonable investing strategy.
With mutual funds I feel I only need to re-evaluate my holdings if the management or investing strategy of the fund changes. Much less maintenance involved.

So far this has all worked out well for me. I plan on sticking to the above philosophy and contributing as much as I can to my 401(k). It is amazing how fast the money builds up!

Ultimately how aggressive you are depends on you own personal preference. Good Luck!
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